Athens: Commodity trader Archer Daniels Midland (ADM) has acquired North Star Shipping and Minmetal, which operate grain handling and port services at Romania’s port of Constanta on the Black Sea.
ADM says it hopes the acquisition will help it to double its grain business volumes and expand its presence in Europe.
North Star and Minmetal operate grain elevators and dry bulk storage and warehousing facilities, plus provide port services, stevedoring and a shipping agency at the port.
The port terminals have ten vessel berths, including seven deep sea berths, with throughput capacity of 6m tpa and storage of 333,000 tonnes for dry bulk commodities.
“This acquisition helps us to meet our goal of strategic expansion though diversification and expansion of our trade and origination territory,” said Joe Taets, president of ADM Europe Middle East and Africa and of the company’s Agricultural Services business unit.
“We’ve talked about the potential to double the volume of our grain business. Here, we’re taking a great step in that direction with this strategic expansion of our European network.
“By becoming full owners of these facilities on the Black Sea, we’re building on the investments we have made in our Danube River network since 2011, which enhances our origination, logistics and export capabilities in Eastern Europe, and allows us to reach more customers around the globe.”
ADM was previously a partner in both North Star and Minmetal, holding a 45% stake in the Constanta facilities.